No requirement to furnish Form ITC-04 from July 2017 to March 2019

Before we start with Form ITC, it is imperative to understand what a Job work is.

A Job work means processing or working on raw materials or semi-finished goods supplied by the principal manufacturer to the job worker. The end result is a finished product or an essential operation.

A job work means any treatment or process undertaken by a person on goods belonging to another registered person. The person doing the job work is called job worker.

ITC implications:

The principal manufacturer will be allowed to take credit of tax paid on purchase of goods sent on job work. The goods can be sent from the principal’s place of business or directly from the place of supply of the supplier.

What is Form ITC-04

FORM GST ITC-04 must be submitted by the principal every quarter on or before 25th day of month succeeding the quarter. He must include the details of challans in respect of the following -

  • Goods dispatched to a job worker or
  • Received from a job worker or
  • Sent from one job worker to another

Notification

Notification no. 38/2019-central tax [g.s.r. 615(e) (f.no. 20/06/09/2019-gst)], dated 31-8-2019

The registered persons (Principal) required to furnish the details of challans in FORM ITC-04 under sub-rule (3) of rule 45 of the Central Goods and Services Tax Rules, 2017, shall not be required to furnish FORM ITC-04 under sub-rule (3) of rule 45 of the said rules for the period July, 2017 to March, 2019.

Provided that the said persons shall furnish the details of all the challans in respect of goods dispatched to a job worker in the period July, 2017 to March, 2019 but not received from a job worker or not supplied from the place of business of the job worker as on the 31st March, 2019, in serial number 4 of FORM ITC-04 for the quarter April-June, 2019.

Simplified Meaning:

Filing of ITC-04 has been waived off for the quarters between July, 2017 to March, 2019. However, the principal has to furnish the details of those challans goods dispatched to a job worker in the period July 2017 to March 2019 but not received from a job worker or not supplied from the place of business of the job worker as on the 31st March 2019 in serial number 4 of ITC-04 for the quarter April-June 2019.

Disclaimer:"The information contained herein is only for informational purpose and should not be considered for any particular instance or individual or entity. We have obtained information from publicly available sources, there can be no guarantee that such information is accurate as of the date it is received or it will continue to be accurate in future. No one should act on such information without obtaining professional advice after thorough examination of particular situation."

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